The positive performance of most leading stocks in the Egyptian stock market and the tendency of Arab and foreign individual investors to buy contributed to the Egyptian Exchange’s breaching the 12,000 points level last week. However, it will be difficult to remain above this level during this week’s trading.
The benchmark index EGX30 closed at 12,043.42 points last week, recording an increase of 0.79%. EGX70 EWI posted a 5.22% gain, reaching 2,316.66 points, while the S&P index rose by 2% and concluded the period at 1,975.35 points.
EGX30 capped also rose by 1.2% and concluded at 14,398.35 points, and EGX100 EWI increased by 4.02% and concluded the period at 3,385.91 points.
Mohamed Othman, the Head of the Technical Analysis Department at Al Ahly Pharos Holding, said that the index is currently at a psychological level of 12,000 points. In case of witnessing any reluctance at the predefined level, it will be seen as a temporary reaction, as the index still has targets of 12,250 and 12,600 points.
He added that the index has a solid support area between 11,800 – 11,700 points. “We keep our positive outlook as long as the index keeps trading above the latter support area.”
Furthermore, total market capitalisation reached EGP 776.9bn last week, representing an increase of 1.47%. The market witnessed 168,000 transactions worth EGP 8.7bn, executed on 1,654m securities last week.
For the week before last, the total trading value recorded EGP 20.2bn, through 196,000 transactions on 3,755m securities.
Stocks trading accounted for 44.53% of the total value traded on the main market, while the remaining 55.47% were captured by bonds over the week.
Egyptians represented 83.9% of the value traded in listed stocks after excluding deals during the period. Foreigners accounted for 8.0%, while Arabs captured 8.1%. Foreigners were also net sellers, with a net of EGP 152.6m, and Arabs were net buyers, with a net of EGP 80.3m, after excluding deals in listed stocks.
During 2021, Egyptians represented 83.9% of the value traded in listed stocks after excluding deals, with foreigners accounting for 8.0% and Arabs 8.1%. Foreigners were net sellers by EGP 152.6m, and Arabs were net buyers by EGP 80.3m, after excluding deals in listed stocks.
